Correlation Between Nio Inc and KEURIG DR

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both Nio Inc and KEURIG DR at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Nio Inc and KEURIG DR into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Nio Inc ADR and KEURIG DR PEPPER, you can compare the effects of market volatilities on Nio Inc and KEURIG DR and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Nio Inc with a short position of KEURIG DR. Check out your portfolio center. Please also check ongoing floating volatility patterns of Nio Inc and KEURIG DR.

Diversification Opportunities for Nio Inc and KEURIG DR

0.0
  Correlation Coefficient

Pay attention - limited upside

The 3 months correlation between Nio Inc and KEURIG is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Nio Inc ADR and KEURIG DR PEPPER in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on KEURIG DR PEPPER and Nio Inc is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Nio Inc ADR are associated (or correlated) with KEURIG DR. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of KEURIG DR PEPPER has no effect on the direction of Nio Inc i.e., Nio Inc and KEURIG DR go up and down completely randomly.

Pair Corralation between Nio Inc and KEURIG DR

If you would invest  1,918  in Nio Inc ADR on April 7, 2022 and sell it today you would earn a total of  138.00  from holding Nio Inc ADR or generate 7.19% return on investment over 90 days.
Time Period3 Months [change]
DirectionFlat 
StrengthInsignificant
Accuracy0.0%
ValuesDaily Returns

Nio Inc ADR  vs.  KEURIG DR PEPPER

 Performance (%) 
      Timeline 
Nio Inc ADR 
Nio Inc Performance
2 of 100
Compared to the overall equity markets, risk-adjusted returns on investments in Nio Inc ADR are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. Despite quite weak forward indicators, Nio Inc disclosed solid returns over the last few months and may actually be approaching a breakup point.

Structure and Payout Changes

Dividend Date
2016-05-02

Nio Inc Price Channel

KEURIG DR PEPPER 
KEURIG Performance
0 of 100
Over the last 90 days KEURIG DR PEPPER has generated negative risk-adjusted returns adding no value to investors with long positions. Even with relatively invariable basic indicators, KEURIG DR is not utilizing all of its potentials. The newest stock price agitation, may contribute to short-term losses for the retail investors.

Nio Inc and KEURIG DR Volatility Contrast

 Predicted Return Density 
      Returns 

Pair Trading with Nio Inc and KEURIG DR

The main advantage of trading using opposite Nio Inc and KEURIG DR positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Nio Inc position performs unexpectedly, KEURIG DR can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in KEURIG DR will offset losses from the drop in KEURIG DR's long position.

Nio Inc ADR

Pair trading matchups for Nio Inc

The idea behind Nio Inc ADR and KEURIG DR PEPPER pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
Check out your portfolio center. Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try ETF Directory module to find actively traded Exchange Traded Funds (ETF) from around the world.

Other Complementary Tools

Portfolio Rebalancing
Analyze risk-adjusted returns against different time horizons to find asset-allocation targets
Go
Correlation Analysis
Reduce portfolio risk simply by holding instruments which are not perfectly correlated
Go
My Watchlist Analysis
Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like
Go
Portfolio Anywhere
Track or share privately all of your investments from the convenience of any device
Go
Equity Analysis
Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities
Go
Alpha Finder
Use alpha and beta coefficients to find investment opportunities after accounting for the risk
Go
Idea Analyzer
Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas
Go